Offshore Momentum Builds: SEAMEC Ltd Signs USD 3.14 Million Addendum With POSH India Offshore

SEAMEC Ltd has reinforced its offshore services portfolio with the execution of a new addendum to its existing subcontract agreement with POSH India Offshore Private Limited. Valued at approximately USD 3.14 million, the addendum expands the scope of work under the Pipeline Replacement Project VIII (PRP-VIII Group B) and the Daman Upside Development Project (DUDP), both commissioned by Oil and Natural Gas Corporation Ltd (ONGC). The agreement was formalized on March 22, 2025, and disclosed publicly on March 24.

 

This strategic extension builds on SEAMEC’s earlier subcontract with POSH India Offshore, which was initially valued at USD 5.61 million. The addendum reflects ONGC’s evolving offshore infrastructure needs and SEAMEC’s growing role as a turnkey marine services provider.

 

Key Highlights From The Addendum Agreement

 

- Addendum valued at approximately USD 3.14 million, exclusive of GST  

- Scope includes additional riser clamp installations, bow string structures, and subsea support works  

- Linked to ONGC’s PRP-VIII Group B and DUDP offshore development projects  

- Work to be executed on a unit rate basis under existing contractual terms  

- Completion timeline aligned with ONGC’s offshore expansion targets through May 2026  

- No change in shareholding or related party status between SEAMEC and POSH India Offshore  

 

Project Scope And Technical Details

 

The addendum covers specialized marine engineering tasks such as:

 

- Installation of riser clamps to support subsea pipeline integrity  

- Deployment of bow string structures for pipeline stabilization  

- Additional subsea support operations including anchoring and tensioning systems  

- Mobilization of offshore support vessels and dive teams for extended work packages  

 

These tasks are critical to ONGC’s offshore production continuity and infrastructure resilience. SEAMEC’s technical expertise and vessel fleet, including SEAMEC II and SEAMEC III, are expected to be deployed for the execution phase.

 

Strategic Importance For SEAMEC Ltd

 

The addendum strengthens SEAMEC’s position as a preferred subcontractor for ONGC’s offshore initiatives. It also reflects the company’s ability to scale operations and respond to dynamic project requirements. With this extension, SEAMEC’s cumulative engagement under the POSH India Offshore subcontract now exceeds USD 8.75 million.

 

The company has been actively expanding its offshore footprint through charter agreements, vessel upgrades, and joint ventures. Recent developments include:

 

- Charter extensions for Sea Pearl and Sea Diamond vessels under HAL Offshore MoUs  

- Deployment of SEAMEC II for drydock and inspection services  

- New joint venture registrations for marine asset management  

 

Financial And Operational Impact

 

The USD 3.14 million addendum will be booked as project revenue over the execution period, contributing to SEAMEC’s topline growth in FY2025–26. The company expects improved vessel utilization rates and margin stability due to the unit rate structure and operational synergies with existing contracts.

 

SEAMEC’s financials for FY2024–25 showed a revenue of Rs 312 crore and net profit of Rs 28 crore, with marine services contributing over 60 percent of total earnings. The addendum is expected to enhance cash flows and support future vessel acquisitions.

 

Governance And Disclosure Compliance

 

The agreement was disclosed under Regulation 30 of SEBI’s Listing Obligations and Disclosure Requirements, with no special rights, shareholding changes, or related party implications. The transaction remains within the ordinary course of business and aligns with SEAMEC’s strategic growth roadmap.

 

Sources: India Infoline, SEAMEC Ltd Official Filing, Stock Insights